Statement of Cash Flows (Indirect Method) Use the following information regarding the Newcastle Corporation to prepare a statement of cash flows using the indirect method: Accounts payable decrease $9.500 Accounts receivable increase 13,300 Wages payable decrease 5,700 Amortization expense 30,400 Cash balance, January 1 57.000 Cash balance, December 31 13,300 Cash paid as dividends 11,400 Cash paid to purchase land 190,000 Cash paid to retire bonds payable at par 142,500 Cash received from issuance of common stock 85,500 Cash received from sale of equipment 22,800 Depreciation expense 74,100 Gain on sale of equipment 26,600 Inventory increase 24,700 Net income 182,400 Prepaid expenses increase 15,200 Remember to use negative signs with answers when appropriate. NEWCASTLE CORPORATION Statement of Cash Flows For Year Ended December 31 Cash Flow from Operating Activities Net Income Add (deduct) items to convert net income to cash basis Depreciation Amortization Gain on Sale of Equipment Accounts Receivable Increase Inventory Increase Prepaid Expenses increase Accounts Payable Decrease Wages Payable Decrease Cash Flow Provided by Operating Activities Cash Flow from Investing Activities Sale of Equipment Purchase of land Cash Used by Investing Activities Cash Flow from Financing Activities Issuance of Common Stock Retirement of Bonds Payable Payment of Dividends Cash Used by Financing Activities Net Decrease in Cash Cash at Beginning of Year Cash at End of Year